Life and Death Planning for Retirement Benefits

Appendix B: Forms

509

numerator of which is the amount of “GST exemption” to which my estate is entitled under § 2631 of the Code, after taking into account all other generation-skipping transfers made by me during my life, or at my death under instruments other than this beneficiary designation form (“my GST exemption”), and the denominator of which is the entire value of the Death Benefit as of the date of my death. If the total value of the Death Benefit is less than my GST exemption, I leave the entire Death Benefit to the Trust. If applying said fraction results in less than all of the Death Benefit passing to the Trust, I leave the balance of the Death Benefit to my children surviving me, in equal shares, with the issue of any deceased child of mine taking the share such deceased child would have been entitled to had he or she been living at the time of my death. In carrying out the terms of this Beneficiary Designation, the Plan Administrator shall be entitled to rely absolutely on any written representation made to it by my Personal Representative with respect to the identities of the beneficiaries hereunder and the amount of the Death Benefit that is payable to each. The Plan Administrator shall have no responsibility or liability to any person for any action or inaction taken by it in reliance upon any representation made to it by, or in carrying out any instructions given to it by, my Personal Representative. The remedy of any person claiming to be aggrieved by any such action or inaction shall be solely against my Personal Representative.

4. TRUST PROVISIONS DEALING WITH BENEFITS

See ¶ 6.4.01 regarding the “boilerplate” provisions (Forms 4.1–4.4) and why including these provisions in your trust agreement does NOT guarantee the trust’s qualification as a “see- through trust.” Note: Some of the following Forms use defined terms (indicated by capitalized initial letters); if using those Forms, you would also need to use the applicable definitions from Form 4.11.

4.1 Administration During Donor’s Life; Irrevocability

See ¶ 6.2.06 . This form is not suitable for a testamentary trust.

____. Administration During my Life .01 The trustee shall distribute to me such amounts of the principal or income of the trust (including all thereof) as I may request from time to time, or (if I am legally incapacitated) as my guardian, conservator, or other legal representative may request on my behalf. .02 I reserve the right to amend or revoke this trust by one or more written and acknowledged instruments delivered to the trustee during my lifetime. This trust shall become irrevocable at my death.

4.2 Forbidding Payment of Benefits to Nonindividuals

See ¶ 6.2.10 for why to forbid use of benefits to pay debts, expenses, and taxes of participant’s estate. See ¶ 6.3.01 (D), ¶ 7.3.03 , regarding why this formmay not “work” with regard to other possible payments to nonindividual beneficiaries.

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